Jamaican Stock — Page 124

NCB insider buys, JMMB sells

March 14, 2014 by IC Insider.com

There was contrasting trading action by insiders in two related companies this past week with National Commercial Bank, that owns roughly 30 percent of JMMB, advising that a related party purchased 6,000,000 of the bank’s shares on March 6, 2014 while Jamaica Money Market Brokers (JMMB) advised that a connected party sold 1,500,000 of its shares on March 4, 2014.

In the latest quarterly reports to December quarter last year, NCB profits grew to $2.86 billion from $2.79 billion while JMMB net profit grew to $752 million from $642 the year before.

Additionally, Jamaica Money Market Brokers advised that a Director sold 31,146 of the company’s shares on March 11, 2014.

Image courtesy of StuartMiles/FreeDigitalPhotos.net

JSE: Participation rises, indices jump

March 12, 2014 by IC Insider.com

Wednesday, 12th March 2014 | Trading on the Jamaica Stock market resulted in the prices of 12 stocks rising and 11 declining as 36 securities traded totalling 6,209,101 shares valued at $48,209,856. The number of companies trading was one of the highest for the year, tying with the previous highest day on January 29th, an indication that the market is generating more interest from investors.

Main Market trading | 7 companies in the main market advanced and 7 declined as the indices moved up strongly with the JSE Market Index gaining 1,182.56 points to 78,595.45 and the JSE All Jamaican Composite index moved up 1,321.76 points to close at 86,590.28

Gains | Caribbean Cement trading 18,567 units at $4.45 for a rise of 6 cents; Carreras traded 387,368 units at $35 to close up by 30 cents; Gleaner had 402,394 units changing hands a $1.20 up by 10 cents; Jamaica Broilers traded 457,322 shares at $5 as the price gained 20 cents; Jamaica Money Market Brokers had 207,214 ordinary shares changing hands to close at $7.20 for a one cent gain; Jamaica Money Market Brokers 8.75% preference traded 1,333,000 units at a cent higher to close at $3.01 and Sagicor Group put through 108,039 units at $9.40 up 40 cents.

Firm | Stocks without a price change are Grace Kennedy with 19,850 shares closing at $59.99; Jamaica Money Market Brokers 7.25% preference shares traded 250 units and closed at $2.50 while the 7.50% preference traded 259,569 units to close at $2; Jamaica Producers had 27,440 shares trading at $18.26; Cable & Wireless 722,000 units at 60 cents; Proven Investments 4,230 units at 18 US cents; Salada Foods 9,800 shares at $9; Scotia Group 877,705 shares to close at $21 after trading as high as $22.49; Scotia Investments 25,230 shares to close at $25.50; Seprod 1,082 shares at $11.50 and Supreme Ventures 300 shares at $2.35.

Declines | Kingston Wharves with 4,796 units as the price lost 6 cents to end at $6; Mayberry Investments traded 1,000 shares to close 5 cents lower at $1.85; National Commercial Bank 6,604 units at 35 cents lower at $19; Pan Jamaican Investment 1,229 shares at $50 in losing a cent; Radio Jamaica 257,250 shares at $1.37, a fall of 3 cents; Sagicor Investments only 670 units to close at $17.99, down a cent and Sagicor Real Estate Fund 5,200 shares, closing down by 4 cents to end at $7.15.

Junior Market trading | The JSE Junior Market Index declined by 7.83 points to close at 714.99 as 11 stocks traded with 5 advancing and 4 declining.

Gains | Caribbean Producers traded 48,599 units to close at $2.75, up 5 cents; General Accident 165,461 units at $1.60 for a one cent increase; Jamaican Teas only 4,443 shares but the price rose 7 cents to end at $3.13 followed by Lasco Manufacturing with 67,941 units at $1.23 for a one cent gain and Paramount Trading exchanged 1,000 units to close at $2.93 a fall of a cent.

Firm Trades | Access Financial Services traded 3,784 units at $8 and Medical Disposables 31,717 shares to close at $2.05.

Declines | Cargo Handlers traded 3,177 units at $14.30, down a cent; Honey Bun 1,852 shares to close at $3 for a 5 cents fall; Lasco Distributors 727,333 units closing at $1.30 for a 5 cents fall and Lasco Financial Services 15,685 shares at $1.23 down 7 cents.

IC bid-offer Indicator | At the end of trading the Investor’s Choice bid-offer indicator had 6 stocks with bids higher than the last selling price and 4 stocks with offers lower.

Filed Under: JSE Main Market, Stock Market Tagged With: Daily Trading, Jamaican Stock, JSE Company, Trading Activity

JSE: 10 up 10 down

March 11, 2014 by IC Insider.com

Tuesday, 11th March 2014 | In Tuesday’s trading on the Jamaica stock market, the prices of 10 stocks rose and 10 declined as 33 securities traded resulting in 6,450,322 shares trading, valued at $26,852,072.

Main Market trading | The advancing and declining stocks tilted the indices marginally up with the JSE Market Index inching up by 29.07 points to 77,412.89 and the JSE All Jamaican Composite index up by 32.50 points to close at 85,268.52.

Gains | Ciboney exchanging 1,235,982 shares at 2 cents higher to closed at 8 cents; National Commercial Bank gained 15 cents to close at $19.35 with 524,529 units changing hands; Pan Jamaican Investment closed at $50.01, up a cent with 10,498 shares; Radio Jamaica with 9,672 shares closed at $1.40 for a 5 cents gain; Sagicor Real Estate Fund put in 17,425 units at $7.19 for a gain of 2 cents; Scotia Group 6,400 shares at $21 an increase of 40 cents and Seprod 9,168 shares at 49 cents higher at $11.50.

Firm| Stocks in the main market trading firm are Barita Investments with 15,000 shares closing at $2.30; Jamaica Broilers 64,355 shares to close at $4.80; Jamaica Money Market Brokers 112,400 ordinary at $7.19; Jamaica Money Market Brokers 7.50% preference, 220,000 units at $2, and 333,000 units of the 8.75% preference at $3; Jamaica Producers 15,131 units at $18.26; Sagicor Group 89,670 shares at $9; Sagicor Investments 17,366 units at $18 and Supreme Ventures 52,123 units at $2.35.

Declines| Cable & Wireless traded 1,570,376 shares in closing 10 cents lower to end at 60 cents; Caribbean Cement 9,969 shares to close down 11 cents at $4.39; Carreras with 43,827 shares at $34.70 down a cent; Grace Kennedy with 44,150 shares at $59.99 down a cent; Mayberry Investments 36,865 shares at $1.90 off by 10 cents and Scotia Investments 4,000 shares at $25.50, down by $1.50.

Junior Market trading | The JSE Junior Market Index declined by 9.24 points to close at 722.82.

Gains | Three stocks closed higher with Jamaican Teas trading 34,325 units to close at $3.06, up 4 cents; Lasco Distributors with 231,781 units at $1.35 with an increase of 4 cents and Lasco Manufacturing with 249,951 shares at a cent higher at $1.22.

Firm Trades | Caribbean Producers traded 324,496 units at $2.70; Derrimon Trading had 516,735 shares changing hands in closing at $2.50, Honey Bun 11,309 units at $3.05 and Lasco Financial Services 139,375 units at $1.30.

Declines| Access Financial Services traded down by $1.10 with 366,491 units at $8; Cargo Handlers lost 69 cents in closing at $14.31 with 653 units; Caribbean Cream traded 20,200 units, 6 cents lower at 75 cents and General Accident had 113,100 shares changing hands at $1.59.

IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 6 stocks with bids higher than the last selling price and one stock with the offer that was lower.

Filed Under: JSE Main Market, Stock Market Tagged With: Daily Trading, Jamaican Stock, JSE Company, Trading Activity

JSE: Low trading, another high for C&W

March 10, 2014 by IC Insider.com

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Monday, 10th March 2014 | In trading on the Jamaica Stock market, the prices of 12 stocks rose and 8 declined as 27 securities traded resulting in 5,152,645 shares trading valued at $14,962,508. Cable & wireless closed at yet a new 52 weeks high and Pulse Investments closed at a new 52 weeks low.

Main Market | 8 companies in the main market advanced and 7 declined as the indices moved up with the JSE Market Index gaining 307.89 points to 77,383.82 and the JSE All Jamaican Composite index moving up 344.12 points to close at 85,236.02.

Gains | Stocks recording gains are Cable & Wireless gaining of 5 cents to close at 70 cents, 52 weeks high, with 3,778,521 units changing hands; Grace Kennedy with 101,500 units at $60 as the price gained 50 cents; Jamaica Stock Exchange with 7,482 units as the price rose 20 cents to end at $2.00; Mayberry Investments 195,661 units with the price closing at $2.00 for a 10 cents gain; Pan Jamaican Investment was up $1.95 to close at $50 with 5,730 units changing hands; Sagicor Real Estate Fund 12,940 shares at $7.17 for a 2 cents gain; Scotia Group with 63,862 units at $20.60 up a mere 5 cents and Seprod with 10,996 units at $11.01, up 11 cents.

Firm | There were only 5 stocks in the main and US dollar markets to close without price changes. Desnoes & Geddes with 44,754 shares at $5; Jamaica Broilers 3,337 shares at $4.80; Proven Investments ordinary, 66,000 units at 18US cents; Proven Investments 8% preference, 500 units closing at $5.09 and Sagicor Investments with 1,000 units at $18.

Declines | Seven stocks declined in the main market with Caribbean Cement losing 25 cents to end at $4.50 with 34,137 shares changing hands; Carreras with 3,000 units at $34.71 a fall of 9 cents; Jamaica Money Market Brokers ordinary, only 2,000 units at $7.19, down 25 cents; Jamaica Money Market Brokers 8.75% preference with 252,200 units at $3.00 for a 5 cents fall; National Commercial Bank 7,730 units as the price declined by 20 cents to $19.20; Pulse Investments traded at 75 cents with 106,700 units, the price was off 12 cents at the end of trading and Sagicor Group 79,275 units for 10 cents lower at $9.

Junior Market | The JSE Junior Market Index eased 0.47 points to close at 732.06 as only 7 stocks traded with 4 advancing and 2 declining.

Gains | Stocks trading up are Consolidated Bakeries with 110,800 shares at $1.20, up 10 cents; Dolphin Cove 1,020 units at $8.40, up 10 cents; Lasco Financial with only 1,000 units, closed at $1.30 for a gain of 9 cents and Medical Disposables with 200,000 shares, closed at $2.05 for a gain of 5 cents.

Firm Trades | KLE Group traded 5,000 shares at $1 as the sole stock in the junior market to close with the price unchanged.

Declines | Only two junior market companies lost ground in trading with Derrimon Trading having 4,500 units changing hands at 5 cents lower to close at $2.50 and Lasco Distributors losing 9 cents in trading 53,000 units to close at $1.31.

IC bid-offer Indicator | At the end of trading the Investor’s Choice bid-offer indicator had 8 stocks with bids higher than the last selling price and 4 with offers that were lower.

Filed Under: JSE Main Market, Stock Market Tagged With: Daily Trading, Jamaican Stock, JSE Company, Trading Activity

Grace doing better than bottom-line

March 10, 2014 by IC Insider.com

2013 was a remarkable year for Grace Kennedy despite reporting lower profit after tax compared to 2012. Remarkable indeed, as the 2013 net results speaks volumes about the Group’s profit potential going forward.

The Group’s profit after tax was $3.22 billion, which was slightly lower than the 2012’s $3.48 billion. The results for 2013 suffered from some restructuring cost in the insurance segment, losses picked up from the government debt exchange program and increased taxation due to a number of factors. By comparison, the 2012 prior year enjoyed a much lower tax cost from the lowering of the Jamaican tax rate to 25 percent and utilization of previous year’s tax losses. In 2013, the changes in taxation dragged down a 24 percent increase in profit before tax of $5.08 billion compared to $4.1 billion in 2012, resulting in earnings per share coming out at $9.65 versus $10.41 in 2012. On the upside, in 2013, the Group benefited from a sharp increase in gains in foreign currencies trading and holdings and from changes in pension liabilities at Hardware & Lumber.

Pretax profit was up 32 percent in the final quarter of the year, well off from the 53 percent growth in the second quarter, but well above the 14 percent in the first quarter and the flat profits in the third quarter.

Total revenues gained 11 percent for the year to $69.53 billion. The December quarter grew by 14 percent compared to 4 percent in the first quarter of the year and 11 percent in quarters two and three. Other income grew sharply by 65 percent to $1.7 billion helped by a big jump in foreign exchange gains. Expenses, on the other hand, grew by 9.85 percent to reach $63.9 billion.

Segment performance | Revenue changes varied from segment to segment with money services gaining 14.4 percent to $5.54 billion, food trading 11 percent to hit $44.6 billion, retail and trading 8.3 percent to $6.8 billion, banking only 3.6 percent to reach $5.54 billion and 2.2 percent for insurance to $4.76 billion. Segment profit saw food trading increasing 23 percent to $1.3 billion, banking was flat at $676 million, insurance fell to $109 million from $384 million but money transfer services grew by 20.6 percent to $1.88 billion and retail and trading 98 percent.

The insurance, banking and money services segments launched new products. There was some fallout in the division however, due to the debt exchange, structural changes and a claims review in the insurance segment. These negatively impacted the profitability of the segments.

Regional performance | Jamaica accounts for 64 percent of revenues with a moderate increase in 2013 of 6 percent to $43 billion. The UK enjoyed a 17 percent increase, USA 13 percent, Canada 20 percent, other European countries 57 percent and Africa 91 percent. Changes in currency rates would have played a big role in the growth in the overseas markets.

Grace should go on to earn between $12 to 13 per share in 2014 making the stock extremely cheap.

Grace Kennedy is an IC Insider Buy Rated stock.

Filed Under: Company News, Company Results Tagged With: Grace Kennedy, Jamaican Stock, JSE Company

JSE: C&W 306% gain in 2 months

March 7, 2014 by IC Insider.com

Friday, 7th March 2014 | How about 306% gain on one’s money in just two months? That is how much Jamaica’s Cable & Wireless shares has gained so far this year when the price closed at 65 cents in today’s trading. Most of the gains came after the company released nine months’ results to December 2013 in mid-February.

In today’s trading on the Jamaica Stock Market, the prices of 8 stocks rose and 10 declined as 29 securities traded resulting in 6,275,259 shares traded, valued at $23,546,563.

Main Market | More companies in the main market declined than advanced as the indices closed down marginally with the JSE Market Index inched down by 32.59 points to 77,075.93 and the JSE All Jamaican Composite index eased by 49.43 points to close at 84,891.90.

Gains | Five stocks recorded gains led by Cable & Wireless trading 3,775,010 shares at a new 52 weeks high of 65 cents as the price gained 9 cents; Caribbean Cement had 46,696 units changing hands with the price gaining 55 cents to close at $4.75; Kingston Wharves traded 958,682 units to close at $6.06 for a 48 cents gain; Sagicor Real Estate Fund put in 14,928 units at $7.15, an increase of 15 cents and Scotia Group 23,014 shares at $20.55, a 5 cents increase.

Firm | Five stocks in the main market closed without a price change including one from the preference section along with the Proven Investments US listing. Desnoes & Geddes with 5,246 units to close at $5; Jamaica Money Market Brokers 8.50% preference shares with 10,500 units at $3.50; Mayberry Investments 6,906 shares at $1.90; Proven Investments ordinary 7,300 units at 18 US cents; Sagicor Group 93,657 shares at $9.10 and Salada Foods with just 100 units at $9.

Declines | Stocks declining are Carreras, trading a decent volume of 261,845 shares to close down 20 cents at $34.80; Grace Kennedy 37,043 units with the price closing at $59.50 for a 50 cents fall; Jamaica Broilers swapped 99,308 units at $4.80 as the price shed 4 cents; Jamaica Money Market Brokers put in 24,506 shares at $7.44 while shaving a cent; Jamaica Stock Exchange lost 30 cents in trading 10,300 units at $1.80; National Commercial Bank traded only 4,700 units as the sellers were not prepared to sell lower by the end of trading at $19.40, a fall of 10 cents; Pan Jamaican Investment put in 5,637 shares at $48.05, down 95 cents and Supreme Ventures had only 2,000 units at $2.35 for a 2 cents decline.

Junior Market | The JSE Junior Market Index advanced by 2.24 points to close at 732.53 with 3 stocks advancing and 2 declining.

Gains | Stocks recording price gains in the junior market are Caribbean Cream in trading 98,080 units, up 6 cents and closing at 81 cents; Lasco Distributors traded 531,349 units to close 5 cents up at $1.40 and Lasco Manufacturing closed with a one cent increase at $1.21 while trading 13,610 shares.

Firm Trades | Five stocks traded with no price change. Blue Power exchanging 10,000 units at $9.01; Caribbean Producers 15,000 units at $2.70; Consolidated Bakeries 24,000 shares at $1.10; General Accident with 41,451 shares at $1.70 and Honey Bun 2,901 shares at $3.05.

Declines | Only 2 stocks closed down as Lasco Financial Services traded 131,490 units at $1.21 and lost a cent and Paramount Trading had 20,000 units trading at $2.92 for a 28 cents fall.

IC bid-offer Indicator | At the end of trading, the Investor’s Choice bid-offer indicator had 6 stocks with bids higher than the last selling price and 2 stocks with offers lower.

Filed Under: JSE Main Market, Stock Market Tagged With: Daily Trading, Jamaican Stock, JSE Company, Trading Activity

H&L turnaround looks complete

March 3, 2014 by IC Insider.com

Hardware & Lumber‘s profit after tax to the end of 2013 jumped to $610 million from only $2.8 million in 2012, but without a one-off reversal of pension obligations of $502.5 million, profit would be in the order of $260 million after tax. Earning were equivalent to $2.76 per stock unit for the year, beating our earnings estimate of $2.

The result for 2013 represents a major turnaround in the fortune of the company that has been struggling with major losses in 2008 and 2009, high debt load and minuscule profits from 2010 to 2012.

Profit before tax was $818 million including the pension adjustment compared with the previous year’s $125 million. The one-off reduction is a non-cash adjustment arising from the company’s decision to move from the Grace Kennedy defined benefit pension plan in 2013 to the Grace Kennedy defined contribution pension plan. Return on equity leapt to 28 percent during the year from ongoing earnings.

Total revenue for 2013 was $6.8 billion, representing an 8.4 percent increase over 2012 but the last quarter of the year revenues climbed by 13 percent bettering the previous three quarters. The retail, hardware and household segment (trading as Rapid True Value) grew by 8.2 percent while the agricultural segment (which trades as Agro Grace) recorded revenue growth of 9 percent. Gross profit for the year was $1.746 billion, representing 25.6 percent of revenue as it slipped slightly from 25.9 percent achieved in 2012. Gross profit margin is back up to 36 percent for the last three years from a low in 2008 of only 27 percent.

At the end of the year, cash funds stood at $418 million compared to $206 million in 2012 even as borrowed funds were reduced by $85 million. The balance sheet reflects stockholders’ equity of $1.176 billion and debt, which was at $1.265 billion in 2008 is now down to $370 million, and should decline further in 2014 as profits increase.

Current assets are now twice that of liabilities with working capital of $1 billion. Hardware & Lumber is majority-owned and controlled by Grace Kennedy. Andrea D. Coy, who headed the operations since April 2012, has gone back to Grace Kennedy. Being an accountant by training, her task may well have been to cut cost and now that is in place, the need for a marketing-oriented person may be the area of focus now.

Hardware & Lumber is an IC Insider Buy Rated stock. We project earnings of $3.76 for 2014, rising to $4.50 in 2015 with a tax rate of 25 percent. For investors, this is a strong buy signal as the stock is expected to record price gains in the weeks and months ahead.

Related posts | Buy Rated: H&L up 74% | H&L – big profits boost

Filed Under: Company News, Company Results Tagged With: H&L, Jamaican Stock, JSE Company

JSE: C&W gains 213% since January

March 3, 2014 by IC Insider.com

Cable & Wireless closed trading at 50 cents and in the process recorded a gain of 213 percent since the start of the year. The stock has been scare since before the company released their December quarterly results in mid-February showing a reduced loss in the December quarter flowing from lower cost and improving margins. A reading the recent market activity of closing prices, bids and offers suggests that the price should move higher. There was a bid to buy just 14,570 units at 50 cents and the closest offer to sell is at 64 cents for 350,000 units. The next amount on offer was 1,038,266 shares at $3.50, well away from the last selling price, and a final offer at $9.90 to sell 43,000 units. Other orders to buy immediately below the 50 cent bid are 249,000 units at 48 cents and 235,000 units at 47 cents.

In Monday’s trading on the Jamaica Stock market, prices of 11 stocks rose and 7 declined as 31 securities traded resulting in only 3,194,433 shares trading valued at $20,691,078.

Main Market | The two main indices declined marginally with the JSE Market Index falling by 42.87 points to 76,636.22 and the JSE All Jamaican Composite index moved down 65.02 points to close at 84,224.90.

Gains | 8 stocks recorded gains with Berger Paints trading 2,000 shares to close at $1.85 cents up 5 cents; Cable & Wireless 206,913 units as the price gained 5 cents to closed at 50 cents; Carreras 21,900 units at $35 for a 32 cents gain; Desnoes & Geddes, 500 shares as the price gained 50 cents to close at $5; Grace Kennedy closed up by $2.25 with 140,861 shares changing hands to close at $58 as investors responded positively to the 2013 full year results; Jamaica Broilers traded 27,466 shares to close at $4.90, a gain of 10 cents; Jamaica Money Market Brokers 8.75% preference share with 100,500 units at $3.05, a gain of 5 cents and Sagicor Group with 67,300 shares at $9 for a gain of 49 cents after it slipped to $8.50 on Friday.

Firm | Stocks in the main market to close without price change are Jamaica Money Market Brokers with 2,080 shares closing at $7.40; Caribbean Cement 86,000 units at $4.80; Jamaica Money Market Brokers 7.50% preference shares with 920,500 units at $2; Jamaica Producers had a mere 671 units trading at $18.26; National Commercial Bank had 15,760 shares trading and closed at $9.49; Radio Jamaica exchanged 30,000 shares to close at $1.35; Supreme Ventures exchanged 50,000 shares at $2.40 and Proven Investments 8% preference shares traded 4,500 units and closed at $5.09.

Declines | Kingston Wharves losing 45 cents to end at $5.55 with 13,500 shares; Scotia Group traded 169,929 units at $20.60 for a 55 cents decline and Scotia Investments had 4,150 units trading at $25.30 at the close for a decline of 60 cents.

Junior Market | The JSE Junior Market Index advanced by 0.65 points to close at 731.06.

Gains | Caribbean Flavours traded 90,854 units to close at $2.50, up 15 cents; Caribbean Producers closed at $2.75 for a 3 cents gain while trading 110,791 units and Lasco Distributors swapped 22,000 shares at $1.35, an increase of 5 cents.

Firm Trades | Stocks trading firm in Monday’s session are Access Financial Services that traded 9,000 to close at $9.10; AMG Packaging with 12,563 shares at $3.55; General Accident with 381,731 units to close at $1.70; Lasco Financial Services 46,201 shares to close at $1.21; Lasco Manufacturing had 377,666 shares changing hands to close at $1.16 and Paramount Trading had 5,000 units trading and closed at $3.20.

Declines | Consolidated Bakeries traded 7,152 units at $1.10, down 5 cents; Caribbean Cream traded at a new all-time low of 75 cents for a fall of 5 cents with 12,445 shares trading and Blue Power with 254,500 shares to close at $9.01 for a 9 cents fall.

IC bid-offer Indicator | At the end of trading the Investor’s Choice bid-offer indicator had 7 stocks with bids higher than the last selling price and 2 stocks with offers that were lower.

Filed Under: JSE Main Market, Stock Market Tagged With: Daily Trading, Jamaican Stock, JSE Company, Trading Activity

Profits down at Scotia

March 3, 2014 by IC Insider.com

Scotia Group and its subsidiary Scotia Investments reported lower profits for the first quarter ended January this year.

Scotia Group reported net income of $2.54 billion for the first quarter ended January 31, which is $168 million above the previous quarter ended October last year and $104 million below the quarter ended January 31, 2013. Earnings per share (EPS) for the quarter was $0.79 compared to $0.82 for the same period last year.

The Directors maintained the dividend at 40 cents per stock unit payable on April 10.

Total operating income, comprising net interest income after impairment losses and including other revenue, was $8.3 billion, a decrease of $28 million relative to the prior year.

Net interest income after impairment losses for the period was $5.7 billion, down $134 million or 2.30 percent when compared to the same period last year. However, the loan loss expense increased by $234 million to $517 million compared with $284 million with prior year.

As reported by management, “Other revenue for the quarter was $2.56 billion, up $106 million or 4.3 percent when compared with prior year. This was due primarily to increased insurance revenue of $54 million, higher gains on our foreign currency trading and investment book of $36 million and net fee and commission income of $11 million. The increase in the net fee and commission income was due to growth in our mutual funds and unit trust business.”

Operating Expenses were $4.87 billion for the quarter, representing an increase of $237 million or 5.12 percent over prior year. This is due primarily to higher staff related costs of $139 million and operating expenses of $117 million.

Scotia loan portfolio fell in the latest quarter to reached $133.4 billion from $134.8 billion in October last year but is still well ahead of the $122.3 billion at the end of January 2013.

Scotia Investments reported net income for the quarter of $421 million, $66 million or 13 percent below the quarter ended January 31, 2013 and $152 million or 26 percent below the October 31, 2013. Operating Income, comprising net interest revenue and other income of $989 million for the quarter was $119 million or 11 percent below the $1.108 billion for the same period last year; and $230 million or 19 percent below last quarter. Non-interest income, which includes fee income, securities trading gains and net foreign exchange trading income, was $352 million for the quarter, $7 million above the same period last year; and $138 million or 28 percent below last quarter. Net interest income fell to $636 million from 745 million in similar period in 2013 as interest margins contract. Wages grew but other operating expenses fell leaving overall expense in line with that of 2013.

The Board maintained dividend at 45 cents per stock unit, payable on April 10, 2014.

Filed Under: Company News, Company Results Tagged With: Jamaican Stock, JSE Company, Scotia

Mayberry profit crushed

March 3, 2014 by IC Insider.com

Profit fell sharply at Mayberry Investments for the year ending December 2013, falling to $102 million as it declined sharply from $439 million reported in 2012. Earnings per share came out at only 9 cents as profit took a big hit of $337.5 million from the transaction in connection with the Government National Debt Exchange Programme (NDX) in February last year. Without the NDX charge, earnings per share would have been around 22 cents in 2013.

Mayberry recorded a decline of $238 million in total revenues driven by declines of $112 million in net interest income, $111.4 million in fees and commissions and $42 million in dividend income and $129 million in net unrealized losses on trading portfolio. There were gains on disposal of a small portion of the associated shareholding of $60 million as well as increase in net foreign exchange gains $105 million.

Total expense for the year was 10 percent lower than for 2012 coming in at $681 million for 2013 and flowed from reduction in staff cost of $32 million and reduced provisions of $91 million as the company recovered some loans.

Mayberry operating profit fell to $213 million from $374 million in 2012 before the NDX charge due mainly to lower net interest income and losses on investment valuation.

In the final quarter, Mayberry reported only $3 million pretax profit compared with $162 million in 2012 and after booking a tax credit, ended up at $42 million in the last quarter, still lower than the $176 million reported in 2012. In the last quarter, the company suffered from lower net interest income and reversal of credit loss gains achieved in the prior period.

Assets grew by $1.2 billion during the year to $22 billion partly funded by increased liabilities.